Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on ASTRAZENECA PLC. We currently have 14 research reports from 3 professional analysts.
|09Dec16 03:05||RNS||FDA accepts durvalumab for BLA in bladder cancer|
|06Dec16 09:30||RNS||Tagrisso data shows superiority over chemotherapy|
|05Dec16 07:00||RNS||AZ completes agreement for Rhinocort Aqua rights|
|01Dec16 04:00||RNS||Block listing Interim Review|
|01Dec16 03:00||RNS||Total Voting Rights|
|22Nov16 07:00||RNS||AZ head and neck cancer trials resume enrolment|
|17Nov16 07:00||RNS||AZ out-licensing deal with Allergan completed|
Frequency of research reports
Research reports on
11 Nov 16
"Just when investors though they would be waking up to the mother of all Trump hangovers, the Dow Jones surges to a fresh all-time record. But what's going on in the debt markets? After all, recent successful presidencies can be traced back to stability in US government bonds. Yesterday, the fixed income sell-off that started with Treasuries on Wednesday began to spread across the world as traders reacted to the prospect of a giant US fiscal stimulus, and have even started to ask whether Trump's victory in fact spells the end of their market's extended bull run. For sure, his proposal to hit US corporates with large offshore cash deposits with a one-time 10% charges, irrespective of whether the funds are repatriated or not, would go some way filling the IRS's coffers, even if there can be no certainty whether they would then choose to invest the surplus or simply give it back to shareholders. Indeed, this point was seen to unsettle tech stocks last night, with the NASDAQ quite sharply down while the Dow and S&P-500 remained well supported. Whatever, an unsettled and divided US yearns for clear vision and immediate action on where the economy is going and Trump knows that his credibility will be tested during his first 100 days in office. But even with control of both congressional chambers his far-reaching plans, ranging from tax reform to renegotiating global trade pacts, will still take as much as two years to become law. European leaders appear anxious to use this breathing space in order to consider their own position within a changing world order, as German Finance Minister, Wolfgang Schaeuble made clear in a speech yesterday. Meanwhile, with the Fed's Jeffrey Lacker overnight noted that the case for raising interest rates remains strong, Janet Yellen's scheduled testimony on Capitol Hill will undoubtedly be one of next week's highlights. Asia also put in a more sombre performance earlier today, as counterarguments circulated between brokers regarding the prospect of high import tariffs/international trade war and a reflated global economy, with the US$-biased Hang Seng being the only loser amongst other modestly firmer indices. With just UK construction figures due for release this morning and no major corporates due to report, London's markets are expected to largely tread water today awaiting more news from Washington; the FTSE-100 is seen fluctuating some 5 or so points either side of unchanged in early trading." - Barry Gibb, Research Analyst
04 Oct 16
"Chancellor Philip Hammond’s speech at the party conference yesterday delivered on most expectations. As predicted, Sterling continued to be the fall guy, sliding close to a 30-year low against the US$, the results of which had already been amply demonstrated by the release of much stronger than expected September PMI data. Jettisoning his predecessor’s plan to achieve fiscal surplus by 2020, the market is now starting to call for much more that the relatively modest boosts provided to housebuilders/constructors and tech innovation in his speech. Indeed, since most forecasters expect next year’s enactment of Article 50 to compound investment uncertainty, resulting in slower growth and lower tax revenues, he will have to do more that just take his foot off the ‘austerity pedal’. Indeed, the government may see the need to fund significant new infrastructural and regeneration programmes, with a view to staunching a potential downward spiral in economic confidence or rocketing unemployment over the next 30 or so months. Not that Hammond wanted it, but the Fed’s William Dudley also reminded markets yesterday of the problems that continue to be experienced by the world’s increasingly impotent central banks. His statement noted insights being gathered “..have important implications for the appropriate path for monetary policy and the question of whether monetary policy makers need additional tools or greater support from the fiscal authorities”. Dudley’s suggestion was not particularly new, but still enough to send a shiver down the spine of the US equity markets, with all principal indices closing modestly negative as some cashed-in profits from the rally of the past few days. Asia closed mixed with only Japan making a reasonable gain due to a weaker Yen and despite the BoJ being forced to lower its inflation outlook still further. The Shanghai Composite was closed for the second day, leaving the Hang Seng and the ASX to make only fractional negative movements. The UK has no major macro data scheduled for release this morning, although the IMF will produce its World Economic Outlook. Amongst London’s corporates, earnings figures or trading updates are anticipated only from various second tier companies such as Greggs (GRG.L), Quantum Pharma (QP..L), Revolution Bars (RBG.L), ScS Group (SCS.L) and St Ives (SIV.L). Later this afternoon, Google is holding a media event in San Francisco, while traders will also be listening for further updates from RBS regarding its reported US$120m settlement with the US courts due to the lender’s underwriting of residential mortgage-backed securities before the 2008 financial crisis. London equities are seen opening in an undecided mood, with the FTSE-100 losing 5 or so points in early trading on relatively light volumes." - Barry Gibb, Research Analyst
A quarter of Brilinta, Farxiga and oncology
30 Aug 16
AstraZeneca’s Q2 results lacked lustre, coming largely in line with our expectations, with the outperformance of product sales of $5.5bn being truncated by lower externalisation revenue, netting sales of $5.6bn. This represented a decline of 10% yoy (NB all revenue growth numbers at constant currency unless specified otherwise), emanating primarily from the Crestor (-29%) and Nexium (-13%) side of the business in the US. Currency had an adverse impact of 100bp. Cost containment, however, was better than our expectation, resulting in a lower decline in operating profit (adjusted for restructuring expense) to $611m, than anticipated. While the cost of sales marginally increased (+3.4%), due to the write-down of the FluMist inventory in the US and the adverse impact of the sales mix, SG&A (-0.7%) and R&D (-0.6%) remained flat reflecting efficiency gains in sales & marketing and IT costs. The core operating profit (which excludes restructuring, amortisation/depreciation/impairment, legal costs, etc.) was down by 21% to $1.4bn, while the reported operating profit plummeted 67.2% yoy to $303m. The debt pertaining to ZS Pharma and Acerta Pharma, further weighed on earnings, resulting in a net loss of $31m vs a profit of $696m in Q2 FY15. The CER guidance of a low to mid single-digit decline in both revenue and core EPS for the year has been maintained, although the FlumMist write-down will take the EPS number to the lower end of the range. Forex is now likely to have a positive impact of a low to mid single-digit on sales (vs earlier guidance of a negative 2% impact).
25 Aug 16
"Traders are now unlikely to take any large market bets until the Federal Reserve Bank of Kansas City's two-day Monetary Policy Symposium at Jackson Hole, Wyoming has concluded. Top of the bill of course is Chair, Janet Yellen, who is formally scheduled to speak at 09:00hrs local time on Friday, but given the hype that has surrounded this event anything she finally divulges is likely to be considered something of an anti-climax as far as investors are concerned. Indeed, most probably she will continue to walk a fine line, offering positive but uncommitted descriptions of the current state of the US economy while keeping options open regarding a rate hike at the central bank's September meeting. That would leave the markets to tread water for a little longer yet. Overnight the US markets closed modestly weaker across all principal indices, giving back more than the previous day's gains, as concerns circulated in the media about possible political actions to tame escalating drug prices following the sharp increase imposed by Mylan Inc. on Epistem, its sever allergies treatment; crude oil also weakened again on further reflection of yesterday's surprisingly big build-up of US stockpiles, which was also seen to pressurise other recently well supported commodity prices. A lack of new stories in Asia left the regions equity markets to simply track the US, with the Shanghai Composite ending the session's the main casualty as the PBOC was seen injecting additional funds to stimulate otherwise lacklustre investor enthusiasm. Other than today's start of the Jackson Hole Symposium, macro releases due includes the CBI Distributive Trades Survey and the CML mortgage lending figures, while UK corporates due to publish earning numbers are Anglo Pacific Group (APF.L), CRH (CRH.L), Henry Boot (BHY.L), Jimmy Choo (CHOO.L), John Laing (JLG.L) and Spire Healthcare (SPI.L). The FTSE-100 is seen opening around 12 points lower in early, relatively low volume, trade." - Barry Gibb, Research Analyst
10 Aug 16
"There was nothing particularly significant from the overnight markets to set the opening trend for London this morning, so investors are instead likely to focus back on yesterday’s report from the National Institute for Economic and Social Research, which reported that the UK economy shrunk by 0.2% in the first full month following Brexit, as political tensions and concerns regarding the UK’s prospective relationship with the EU knocked confidence. This, added to the Bank of England’s reported failure to buy back as many government bonds as it had targeted during the first couple of days of its six-month, £60bn programme, highlights the fact that the process of stimulating risk markets can never be straight forward. London equities accordingly look to be setback at the opening this morning, with the FTSE- 100 seen falling up to 15 points in early trade. Overnight, the US markets saw quiet, low volume activity push all three principal indices modestly into the positive, with the tech-heavy NASDAQ leading the way and closing at a new record high. Yen strength was again the main talking point in Asia as Japan reported June core machinery orders rebounding from previous weakness; while gains of half a percent against the US$ kept the Nikkei under pressure other markets in the region ended mixed with commodity stocks amongst the main losers. This morning the UK will report CML Housing Market Data while the BoE Agents’ Summary of Business Conditions is also due for release. Half-yearly earnings are also due from Centamin (CEY.L), G4S (GFS.L), Interserve (IRV.L), Trafalgar New Homes (TRAF.L) and the Prudential (PRU.L)." - Barry Gibb, Research Analyst
08 Dec 16
Elderstreet stake acquired 02 GENERAL NEWS Globalworth premium In this issue Venture capital firm Draper Esprit has taken a 30.8% stake in venture capital trust manager Elderstreet. Both investment managers focus on the technology sector and they will be able to co-invest. Elderstreet has investments in a number of AIM-quoted companies through its VCTs. The purchase was funded by an issue of Draper Esprit shares worth just over £250,000. Simon Cook, the chief executive of Draper Esprit, is a former partner at Elderstreet so he knows the business and the people who run it, although he did leave more than 14 years ago. Cook has previously acquired portfolios from 3i and Cazenove, two other firms where he has worked. Draper Esprit has an option to acquire the remaining shares in Elderstreet, which has more than £25m under management. Adding Elderstreet to the group enables Draper Esprit to offer investors a range of EIS funds, VCTs and an ISA qualifying listed evergreen patient capital fund. The enlarged group has venture capital assets under management of more than £350m. At the end of September 2016, Draper Esprit had a net asset value of 352p a share, which is similar to the current share price. The June 2016 flotation price was 300p a share. Draper Esprit is quoted on Ireland’s Enterprise Securities Market as well as AIM.
N+1 Singer - Morning Song 05-12-2016
05 Dec 16
RTHM is acquiring a profitable Canadian listed mobile specialist for equivalent of US$42.5m consideration in shares (88.235m). This helps adds to two growth vectors RTHM is targeting; (i) adds unique exclusive audience (10m unique) and (ii) Exclusive demand Yahoo and Facebook. The business has 15 premium and owned and operated apps which provide users with rewards for activity. The business is expected to deliver c$9m of EBITDA in FY18 including $2m of cost synergies. This equates to just 4.7x EV/EBITDA. This marks what we see the first step in RTHM activity to scale the business and deliver on margin potential (see our initiation notes). Our initial estimates for EPS revisions are very significant - for FY18 are 2.3 cents (currently 0.6) and for FY19 4.3 (currently 2.5). There is a call at 830 for investors and we will revise post this.
Exponential growth now in sight
07 Dec 16
The best things in life are worth waiting for, or at least that seems to be the case with Kromek, a pioneering radiation detection expert. Since listing on AIM at 51p back in October 2013, the company has not only been busily refining and field testing its next generation CZT (cadmium zinc telluride) technology, but importantly also securing a raft of new orders.
N+1 Singer - Morning Song 09-12-2016
09 Dec 16
This morning’s AGM Statement confirms that trading in the first four months of the year to 31st October was in line with expectations. Revenue was slightly above the prior year period and cash collection has remained strong. The Group has reiterated its commitment to maintaining a progressive dividend policy. The statement is encouraging and we therefore leave our forecasts unchanged. We note the attractions of a 5% dividend yield and consider the shares inexpensive at 4.5x FY’17 EV/EBITDA.
Small Cap Breakfast
07 Dec 16
Creo Medical group—Schedule 1 update.. £20m raise. Expected market cap £61.2m, admission expected 9 December. ECSC—Schedule 1 from provider of cyber security services. Raising £5m. Vendor sale £0.8m. Target date 14 Dec. Expected market cap £15m. RM Secured Direct Lending - The secured direct lending fund intends to float on the Main Market on 15 December raising up to £100m
N+1 Singer - Morning Song 06-12-2016
06 Dec 16
With FY16 volume and revenue already disclosed in the pre-close, the focus in today’s prelims is on PBT (£100.3m versus our £101m) and EPS (96.8p versus our 95.4p). No special dividend triggered this year (none forecast) and DPS is held at 46.8p (N1SE: 48.0p). On end markets, recent commentary is reiterated – the core business is growing, whilst consumer electronics will be subdued in the current year (competitive capacity from Solvay). On currency, there will be a material benefit in the current year (a little more than the £14m to £15m previously indicated), and a further tailwind next year if current rates are maintained (quantum TBC). There is also an investment of £10m today in a minority interest in Magma Global, Victrex’ oil and gas mega programme partner. Although the share price is now close to our TP of 1730p, we feel that there is enough in today’s announcement to retain a positive stance on medium term opportunities with strong cashflow and a special dividend potentially to look forward to in the current year.